Our benefit and compensation strategy varies for different areas of activity. We highlight that the variable compensation of executives and supervisors is in some cases linked to ESG issues.
ESG compensation metrics associated with client service and quality of sales and connected to the Financial Citizenship Commitment: some indicators related to the quality of sales and the suitability of the governance of products could negatively impact the compensation of certain employees, including those in entry-level positions and in higher-level positions, such as Superintendents and Officers. At the branches, all employees and leaders may have their variable compensation reduced based on certain metrics, including cancellations of products, concentration of sales on the same client, complaints, civil lawsuits and reimbursements. Additionally, the Net Promoter Score (NPS), which measures the quality of products, services and client service, and other indicators related to clients’ financial health and the qualifications of the labor force could impact the variable compensation.
ESG compensation metrics associated with the environmental management of our operations and connected to the Responsible Management Commitment: the compensation of business units’ managers responsible for infrastructure is linked to the achievement of our public energy reduction targets.
ESG compensation metrics associated with ethics and connected to the Ethics in Relationships and Business Commitment: the variable compensation of management members may be reduced when products are not sold in compliance with the governance terms for the evaluation of Itaú Unibanco’s products and processes, which are evaluated at the discretion of the Executive Officer of the department responsible for the product and its application.
For more details on ESG-related compensation, access the ESG Annual Report available on this page.